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The Securities and Exchange Commission (SEC) has declared AfriQuantumX, a self-acclaimed cryptocurrency and stock investment platform, as an unregistered and fraudulent scheme, warning Nigerians against engaging with it.
In a public notice, SEC revealed that AfriQuantumX is neither licensed nor authorized to solicit investments or operate within Nigeria’s capital market, describing its operations as typical of a Ponzi scheme.
“The attention of the Commission has been drawn to the activities of AfriQuantumX, which holds out itself as an investment platform trading on and selling cryptocurrency and stocks to investors in Nigeria,” SEC stated.
The Commission added that “AfriQuantumX is not registered by the Commission either to solicit investments from the public or operate in any capacity within the Nigerian capital market.
According to information published by the platform, AfriQuantumX claims to have attracted $51 million (about N76 billion) in investments, paid $452 million in dividends, and registered over 12,000 active users.
The platform markets itself as an artificial intelligence-driven investment project promoting economic development in Africa. It promises returns from as little as $250 in what it calls “safe and sustainable” wealth growth.
SEC warned that such representations are misleading and expose investors to serious financial risks, including fraud and total loss of funds.
“The Commission reiterates that transacting with unregistered and unregulated entities exposes investors to financial risk, including fraud and potential loss of investment,” it said.
It urged the public to always verify the registration status of investment companies on its portal at www.sec.gov.ng/cmos before engaging in any financial transaction.
